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Weber Inc. had the following balances: Account Cash Accounts receivable Supplies Prepaid insurance Accounts payable Salaries payable Short-term notes payable Unearned rent Long-term notes payable,
Weber Inc. had the following balances: Account Cash Accounts receivable Supplies Prepaid insurance Accounts payable Salaries payable Short-term notes payable Unearned rent Long-term notes payable, Consulting revenue earned Commissions earned Rent expense Utilities expense 2014 $87,000 139,000 78,500 51,000 46,500 105,500 76,500 55,500 45,500 135,000 56,000 77,000 88,000 2013 $88,000 197,500 77,000 52,500 43,000 109,500 124.000 25,000 88,000 94,000 134,500 124,500 78,500 a) Calculate the working capital for 2014 and 2013. Please make sure your final answer(s) are accurate to the nearest whole number. 2014 2013 Working capital b) is the change in working capital favourable or unfavourable? The change in working capital is (select one) c) Calculate the current ratio for 2014 and 2013. Please make sure your final answer(s) are accurate to 2 decimal places. 2014 2013 Current ratio d) Is the change in current ratio favourable or unfavourable? The change in current ratio is (select one) Activate Windows Go to Settings to activate Windows e) For the next two questions, assume that on the last day of 2014, the entire $46,500 balance in Accounts payable was paid off by cash. How would the working capital have changed? The working capital would have (select one) f) How would the current ratio have changed? The current ratio would have (select one) Activate Windows Go to Settings to activate Windows
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